Exhibit 99.1
Encore Capital Group, Inc.
NASDAQ: ECPG
March 3, 2004
Presentation to Wall Street Analyst Forum
New York, New York
Rev. 3-4-04
Forward-Looking Statements
Certain statements in this Presentation constitute “forward-looking statements” within the
meaning of the Private Securities Litigation Reform Act of 1995. Such statements involve risks,
uncertainties and other factors which may cause actual results, performance or achievements of
the Company to be materially different from any future results, performance or achievements
expressed or implied by such statements.
Factors that could materially affect the Company’s results and cause them to differ from those
contained in the forward-looking statements include:
• the availability and cost of financing;
• our ability to purchase receivables portfolios on acceptable terms;
• our ability to recover sufficient amounts on receivables to fund operations;
• our continued servicing of receivables in our third party financing transactions;
• our ability to hire and retain qualified personnel to recover on our receivables
efficiently;
• changes in, or failure to comply with, government regulations; and
• the costs, uncertainties and other effects of legal and administrative proceedings.
Additional information concerning these and other factors that could cause actual results to be materially
different are contained in the Company’s Quarterly Reports on Form 10-Q and in the Company’s Annual
Report on Form 10-K for the year ended December 31, 2003, filed with the Securities and Exchange
Commission.
In light of the significant uncertainties inherent in the forward-looking statements included herein, the
inclusion of such information should not be regarded as a representation by the Company or by any other
person or entity that the objectives and plans of the Company will be achieved.
Encore Capital Group, Inc
50 Year Old Purchaser of Consumer Debt
Present Management Team Took Over in
Mid-2000
Unique Business Model
Excellent Results
Strong Drivers for Growth
Compelling Fundamentals
“America’s appetite for borrowing money bloats U.S. consumer debt to
a record high almost every month. As of September, the tab stood at $2
trillion and was spurting at an annual rate of 10 percent. Through good
times and bad, spending tomorrow’s dollars today never goes out of
fashion.”
Source: Credit and Collections Daily – November 24, 2003
Source: Federal Reserve Board, September 2003
$ in billions
Non-mortgage consumer debt and charge-off rates
Competitive Advantage
Account Level Analytics
Multiple Collection Strategies
Sophisticated Account Management
System
Business Drivers
Buy Right
Collect Well
Manage Expenses
Challenge Everything
Demand Professional and Ethical
Behavior
Basic Business Model
This Is How We Make Money
Years
0
1
2
3
>3
Total
Investment
($100)
Collections
$114
$74
$51
$31
$270
Cumulative Multiple Of Costs Collected
1.1x
1.9x
2.4x
2.7x
Total Operating Expense
@40%
($46)
($30)
($20)
($12)
($108)
Net Cash Flow Stream
($100)
$68
$44
$31
$19
$162
Net IRR
29%
Representative Data Only; Not Actual Portfolio Results
Portfolio Purchases = Raw Material
Total Portfolio Purchases Through December 31, 2003
7.3 Million Accounts With $12.7 Billion Face
Purchase Price: $285.4 Million or 2.2¢
This Management Has Bought Through December 31, 2003
4.8 Million Accounts With $7.7 Billion Face
Purchase Price: $195.3 Million or 2.5¢
100%
$7.7
Total
13%
$1.0
37+ Months
18%
$1.4
25-36 Months
8%
$0.6
19-24 Months
25%
$1.9
13-18 Months
13%
$1.0
7-12 Months
22%
$1.7
0-6 Months
% of Total Face Purch.
Face Value ($ in
Billions)
Month Since Charge-
Off
Strong Collection Growth
Collection Innovation Drives
Our Performance Improvements
Innovation Yields Multiple Strengths
Portfolio Performance
*Average Multiple for All Portfolios at 6 Months, 12 Months, and 24 Months Respectively as of 12/31/03.
$1.9 Billion
$ 4.3 Billion
$ 6.2 Billion
Total Face Value
57
106
143
# of Portfolios
Portfolio Performance –
Another View
Multiple of Purchase Price Collected
by Year of Purchase
Expense Management
Cost Per Dollar Collected Has Decreased by 30%
While Monthly Collections Have Grown by 277%
Strong Financial Performance
Resulting in a Return to Profitability
*As Adjusted for Unusual Items.
Strong Financial Performance
Drivers for Growth
Core Business Growth
Innovations and Analysis
New Financing
Validation of Remaining Value Model
Profitable Investment of Cash
Experienced Management Team
Name / Position
Carl C. Gregory, III
President & CEO
Barry R. Barkley
EVP & CFO
J. Brandon Black
EVP & COO
Alison James
SVP
Robin R. Pruitt
SVP
John Treiman
SVP & CIO
Eric Von Dohlen, PhD
VP
Experience
President and CEO; Former Chairman, President and CEO of West Capital
EVP & CFO; Former CFO of West Capital; Former CFO and Board Member of
Bank One, Texas, N.A; Former Controller of Great Western
Financial Corp.
EVP & COO; Former SVP of Operations of West Capital and First Data
Resources; Former VP/Risk Operations of Capital One
SVP, Human Resources; Former Director of Human Resources, Gateway, Inc.
SVP, General Counsel and Secretary; Former VP and General Counsel of
West Capital and ComStream Corp.; Former VP, Legal and
General Counsel of Mitchell International, Inc.
SVP & CIO; Former VP & CIO of West Capital; Former VP & CIO for
Frederick’s of Hollywood and The Welk Group
VP and Chief Credit Risk Officer; Former VP of Decision Science for
Associates Home Equity Division